Blog | October 13, 2023 | 3 Minutes Read
With more companies incorporating Belonging, Equity, and Impact (BE&I) initiatives in their work environments, employees across America feel more comfortable in their jobs, which in turn boosts their creativity and productivity.
Earned Wage Access (EWA). EWA gives employees access to their pay that’s been earned but not yet paid. The ability to receive wages when you need them provides people with peace of mind and the ability to cover unexpected expenses when they arise. The demand for short-term liquidity is staggering, and employers are in a unique position where they can help their employees.
Waiting for the bi-weekly check to come in when an unplanned emergency arises can add a significant strain on someone’s finances. One may have to rely on family and friends to lend, which can be expensive or shameful. Perhaps the employee will go into the savings that they spent years building. And how does this affect employers? Absenteeism, sickness, lack of focus, reduced productivity, and overall decreased return-on-investment (ROI).
EWA services can help alleviate these sudden, unplanned demands for cash. Employees value the financial wellbeing that these flexible pay models provide, as they offer a means to avoid unnecessary debt. These services often give access to better banking and financial management services too.
Overall, this financial flexibility method allows companies to attract a wide scope of talent!
Did You Know: For organizations looking to invest further and benefit more from BE&I, EWA can be hugely beneficial as 59% of the African American workforce, and 63% of the Hispanic workforce are paid hourly.
UKG goes one step further to help employees access their pay on-demand. Our EWA service is low-cost to employees and zero-cost to employers. And this service doesn’t involve lending money to employees – we simply provide access to their wages as they earn it. Not only does EWA help improve an employee’s financial security, but companies that offer an EWA see up to a 36% increase in retention.
Did you know: UKG is playing an active role in helping to close the gender wage gap? Currently, we’re contributing 18 cents for every employee paid via a UKG solution—that’s over $3 million annually toward programs and initiatives to fight for pay equality.
Along with net-pay earnings, UKG Wallet also services free bill pay without the requirement of having a bank account, offers free financial consulting, and can be used on platforms such as Uber and Amazon. Additionally, if employees hit their saving goals on the platform, employers have the opportunity to make a one-time match to reward their success!
All content provided on this page is for informational purposes only. Payactiv makes no representations as to the accuracy or completeness of any information on this site or found by following any link from this site. Payactiv will not be liable for any errors or omissions in this information nor for the availability of this information. Payactiv will not be liable for any losses, injuries, or damages from the display or use of this information.